London, Guernsey, Isle of Man, Jersey and Geneva – 2 February 2010: Collins Stewart Wealth Management believes that stocks quoted on the Alternative Investment Market (‘AIM’), which include the Jersey-based Stanley Gibbons Group, still have further to climb following an impressive 2009.
AIM is the London Stock Exchange’s international market for smaller growing companies and a wide range of businesses join AIM seeking access to growth capital.
Despite a number of leading commentators declaring an end to the Alternative Investment Market following the significant decline in 2008, it has delivered impressive returns over the past 12 months. The AIM Index increased by 66% in 2009, significantly outperforming the FTSE 100 and making it one of the best performing markets in Europe.
The recovery in 2009 was driven by an improvement in sentiment following a return to global growth and recognition that smaller companies typically have a higher degree of operational gearing. Added to this was the increase in secondary fundraisings and corporate activity prompting investors to ask the question, has it gone too far too quickly?
The answer, according to Collins Stewart Wealth Management’s Paul Parker, appears to be ‘No’.
“The second half of 2009 saw good quality companies, whose share prices were unfairly affected in the panic to exit small cap stocks, benefit from an increased appetite for risk,” he said.
“Companies such as May Gurney, James Halstead, Nichols and Albemarle & Bond have made significant progress since their recent lows as they continued to produce record turnover and profits.
“Cash generation remains key, with a focus on continued progressive dividends. Although these companies have seen their share prices recover, they still remain off their peaks and should have further to go when you factor in their leading market positions, track records and solid balance sheets.”
For further information please contact:
UK M:Communications Louise Hatch +44 (0) 20 7920 2316
Jersey PJ News & Publishing Philip Jeune + 44 (0) 1534 857 309
Guernsey/ Isle of Man Orchard PR Steve Falla + 44 (0) 1481 240 600
UK Collins Stewart Wealth Management Oliver Tregoning +44 (0) 20 7523 4527 Offshore Collins Stewart Wealth Management Vanessa King +44 (0) 1481 733 907
Notes to Editors
Collins Stewart Wealth Management (“CSWM”) is a leading portfolio manager and stockbroker with an absolute focus on preserving and growing wealth. CSWM manages and administers £5.8bn1 of assets through its offices in London, Guernsey, Jersey, Isle of Man and Geneva. More information on CSWM is available at www.collinsstewartwealth.com. 1 as at 31/10/09 Collins Stewart plc is a leading independent, financial advisory group listed on the London Stock Exchange.
Collins Stewart plc employs almost 700 staff in 10 international locations and is organised around four operational divisions: Advisory, Corporate Broking, Securities and Wealth Management, all served by its unique research tool, Quest™. More information at www.collinsstewart.com